Thursday, October 04, 2007

DirectBuy

I am sure most of you have seen those annoying DirectBuy commercials on TV. Join their special club and save tens of thousands$$ on your furniture and home improvement projects! Well, I have wondered just what the heck this place was, because the commercials smell really fishy. Like I always do these days when I question something, I Google it!

Turns out it is a scam, any way you slice it. I am surprised that places like this are even legal. Here are some of the details:

-You accept their "free pass" to visit a local showroom. This "visit" is essentially a sales pitch to join, like a timeshare or those investing-made-easy seminars.
-After watching their 90 minute presentation, which doesn't include any specific pricing or product information, they funnel you into the sales room where you get "one-on-one time" with a membership salesperson.
-You are pressured to pay around $5000 for a 2 or 3-year membership (depending on where you live), then around $200 a year after that...and you have to commit for 10 years.
-You have to decide RIGHT THEN AND THERE whether you want it or not. If you leave to think about it, you cannot return for 7 years! Banished! No crap! Check the websites below, it is true!! Why would you hand over $5000 to anyone that tells you that? Keep in mind, this is before you are allowed to price their merchandise!
-Many people at the sites below say the salespeople are assholes, with more off-putting pressure than a used car salesman. And many have turned plain ugly to them after they opted out.
-Most people that joined said it takes months for their product to arrive. And that shipping and handling fees usually raise the price up to where there are no savings at all.
-It is well-established that you have to buy $18,000 in merchandise to break even, and you have to buy $40,000 in merchandise for significant savings. What percentage of their customers will this benefit?

They know damn well that 80-90% (my figure) of their members will never buy more than $18,000 in stuff. That is how they came up with the $5000 figure in the first place! It is the point at which they can guarantee a profit! The merchandise is just a front to get the $5000 up front. They aren't dealers of merchandise, they are collectors of membership fees! Simple economics, folks. This is how hard-working Americans get screwed.

I feel bad for the people that are suckered into this. Like one of the comments on the site below said, "why would you trust anyone that won't let you compare their prices around town...before you give them $5000"?

Question everything and be a "no" person. Unless someone needs a hand, then you can say "yes, I will help you, friend!"

Here are two sites with juicy complaints. If you are like me, you can't stop after reading just one.

http://www.infomercialscams.com/scams/direct_buy_scams


http://www.infomercialratings.com/product/direct_buy



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